A Life-Changing Decision: How One Family Protected Their Home

When John and Mary Thompson bought their home in Reading, PA, they envisioned raising their children, celebrating holidays, and eventually passing it down as a cherished family legacy. But as they entered their late 60s, a troubling thought kept them up at night—what if one of them needed long-term care? Would they have to sell their beloved home to cover nursing home costs?

That's when they reached out to Scott Hoh at Resolution Law Group in Berks County, PA. Scott introduced them to the concept of a Medicaid Asset Protection Trust (MAPT), a powerful tool that could protect their assets while ensuring they still qualified for essential long-term care services.

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Understanding Medicaid Asset Protection Trusts (MAPT)

For many families in Pennsylvania, long-term care expenses can be financially devastating. The cost of a nursing home can easily exceed $10,000 per month, rapidly depleting a lifetime of savings. The MAPT Trust allows homeowners and asset holders to safeguard their property and investments while ensuring Medicaid eligibility when the time comes.

John and Mary learned that a MAPT Trust is a type of irrevocable trust, meaning once assets are transferred, they no longer legally own them—but they can still benefit from them. The assets are then protected from Medicaid's spend-down requirements, allowing families to pass their legacy to their loved ones instead of using it to pay for nursing home care.

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A Real-Life Example: How the Thompsons Benefited

After meeting with Scott Hoh, the Thompsons decided to place their home and some cash assets into a MAPT Trust. This meant:

● Their home would not be counted as an asset for Medicaid eligibility.

● They could still live in the house and maintain all tax benefits.

● After five years, their home would be fully protected from nursing home costs.

● Their children would inherit the property without dealing with probate issues.

Fast forward six years, and John suffered a stroke, requiring long-term care. Because they had planned ahead, Medicaid covered his expenses while Mary remained in their home—without the fear of losing it.

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Who Should Consider a MAPT Trust?

Not just for retirees, a MAPT Trust is ideal for anyone concerned about:

● Protecting a home or property from being lost to long-term care expenses.

● Ensuring assets pass to their heirs rather than the government or nursing homes.

● Avoiding the lengthy and costly probate process in Pennsylvania.

● Maintaining eligibility for Medicaid while preserving financial security.

Another Real Story: The Case of Susan Reynolds

Susan, a 55-year-old widow in Berks County, PA, had seen her mother's savings wiped out by nursing home expenses. Determined not to face the same fate, she met with Resolution Law Group and set up a MAPT Trust early. Five years later, when Susan was diagnosed with Parkinson's, her assets remained protected, allowing her to afford quality care while ensuring her children's inheritance stayed intact.

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How to Set Up a MAPT Trust in Pennsylvania

Setting up a Medicaid Asset Protection Trust is a step-by-step process:

1. Consult an Estate Planning Attorney – Meet with an attorney at Resolution Law Group to review your financial situation.

2. Draft the Trust Agreement – A customized trust document is prepared to meet Pennsylvania legal requirements.

3. Transfer Assets into the Trust – This includes real estate, financial accounts, and other eligible assets.

4. Record the Deed (If Transferring a Home) – This officially moves the home into the trust and starts the five-year Medicaid lookback clock.

5. Manage the Trust – The designated trustee oversees the assets while ensuring compliance with Medicaid laws.

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The Five-Year Lookback Rule: Why Timing Matters

A MAPT Trust must be established at least five years before needing long-term care to be fully effective. If a person enters a nursing home before this period ends, Medicaid may impose penalties. This is why planning now is critical.

John and Mary's success story happened because they acted early. Susan's foresight ensured her children's financial security. Whether you're in your 50s, 60s, or even younger, taking action today could mean peace of mind tomorrow.

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Secure Your Future: Contact Resolution Law Group

Estate planning doesn't have to be complicated, but waiting too long can be costly. If you live in Reading, PA, Berks County, PA, or anywhere in Pennsylvania, the team at Resolution Law Group is here to help.

📞 Schedule a Consultation Today: Visit www.resolaw.com or call our office to explore how a MAPT Trust can protect your assets and legacy.

By planning ahead, you can ensure your loved ones receive the inheritance you worked so hard to build—without the burden of long-term care costs. Take control of your future today!